Earnings (Loss) Per Share

6 Months Ended

Oct. 31, 2011

Earnings (Loss) Per Share [Abstract]

Earnings (Loss) Per Share

13. Earnings (Loss) Per Share

Basic earnings (loss) per share is computed by dividing net earnings (loss) less dividends payable on preferred stock by the weighted average number of common shares outstanding during the reporting period. Diluted earnings (loss) per share is computed similar to basic earnings (loss) per share except that it reflects the potential dilution that could occur if dilutive securities or other obligations to issue common stock were exercised or converted into common stock. For the six months ended October 31, 2011 and three and six months ended October 31, 2010, because of our reported net loss, potentially dilutive securities were excluded from the per share computations due to their anti-dilutive effect.

(in thousands, except per share amounts)	Three Months Ended          October 31,		Six Months Ended          October 31,
	2011	2010	2011	2010
Net income (loss)	$         795	$        (113)	$        (983)	$       (589)
Dividends payable on preferred stock	$        (101)	$              -	$        (135)	$              -
Net income (loss) available to commons stockholders	694	(113)	(1,118)	(589)
Weighted average shares of common stock outstanding, basic	14,657	13,844	14,629	12,542
Effect of dilutive securities	1,819	-	-	-
Weighted average shares of common stock outstanding, diluted	16,476	13,844	14,629	12,542
Earnings (loss) per share of common stock:
Basic	$        0.05	$       (0.01)	$       (0.08)	$      (0.05)
Diluted	$        0.04	$       (0.01)	$       (0.08)	$      (0.05)

The dilutive securities above represent only those stock options, warrants, convertible debt, and preferred stock whose exercise prices were less than the average market price of the stock during the respective periods and therefore were dilutive. Potentially dilutive securities that are not included in the diluted net earnings per share calculation because they would be antidilutive are employee stock options of 2,223,869 and common stock warrants of 909,042 for the three months ended October 31, 2011.  Potentially dilutive securities that are not included in the diluted net loss calculation because they would be antidilutive are employee stock options of 2,783,065 and common stock warrants of 1,344,986 for the six months ended October 31, 2011.  Potentially dilutive securities that are not included in the diluted net loss calculation because they would be antidilutive are employee stock options of 2,299,619 and common stock warrants of 1,344,986 for the three and six months ended October 31, 2010.  Potentially dilutive securities that are not included in the diluted net loss calculation because they would be antidilutive are preferred stock shares of 1,666,667 for the six months ended October 31, 2011 and zero for the three and six months ended October 31, 2010.